Turkey Signs $5.1 Billion in Green Loans at Cop31

Turkey concluded ten loan agreements totaling $5.1 billion on Thursday in Antalya. The deals were signed during the United Nations climate conference, Cop31, and involve the Asian Development Bank, the Asian Infrastructure Investment Bank, the World Bank, and the Islamic Development Bank. The financing is designated to accelerate the country's shift toward a more sustainable economy.

Mehmet Simsek, the Turkish Treasury and Finance Minister, stated that domestic budgets are insufficient to cover the costs of structural transformation. He noted that support from global financial institutions is critical for Ankara to achieve its climate goals. Simsek indicated that the government had prepared specific projects to ensure the secured financing could be deployed effectively.

The Asian Development Bank agreements will expand long-term financing for small businesses. The funds target less-developed provinces, areas affected by recent earthquakes, and female entrepreneurs. Masato Kanda, the ADB president, said these investments will support the construction of disaster-resilient hospitals and improve healthcare services. The bank also aims to train new medical professionals. With these new deals, total ADB financing for Turkey is set to reach $3.1 billion within the next year.

The Asian Infrastructure Investment Bank committed $1.6 billion for the Turkey Climate Action Acceleration Program. This funding supports the implementation of the country's new climate regulations. The bank will also provide $300 million through Turk Eximbank. Zou Jiayi, the AIIB president, stated that this loan will help Turkish businesses withstand economic shocks while supporting the green transition.

Ajay Banga, president of the World Bank Group, announced that three agreements worth $1.5 billion were signed on the same day. These funds will support development in cities, agriculture, and industry. This amount excludes additional private-sector investment that the World Bank hopes to mobilize in the future.

In a separate development, Turkish Energy Minister Alparslan Bayraktar announced a preliminary deal worth $15 billion with China's National Energy Administration. The agreement focuses on renewable energy investments and was signed on the sidelines of Cop31. Bayraktar explained that the investment aims to implement 7,000 megawatts of solar and wind power capacity. The project includes new energy storage systems and 4,000 megawatts of electricity transmission infrastructure.

The memorandum of understanding will facilitate technology transfer, enabling the domestic production of wind turbine equipment. Since 2023, Turkey has secured approximately $50 billion in external financing from various development partners. The current round of agreements follows Turkey's first loan agreement with the Asian Development Bank, which was signed in November 2025.